About FYBIT Service

How to Open and Manage Trades on FYBIT

This guide walks you through placing Up/Down orders, setting Stop Loss, using leverage, and ultimately closing your positions. It also clarifies how different order types (Market or Limit) function on the FYBIT platform.

1. Understanding Buy (UP/DOWN) vs. Sell

• Buy (UP/DOWN) Orders:
  • Buy UP or Buy DOWN orders are designed to open a new trade in either direction.
  • You can use BTC, ETH, or USDT as funding currency to open trades on any available cryptocurrency.
• Sell Orders:
  • A Sell order closes an open trade or position.
  • Whether you opened a trade with Buy UP or Buy DOWN, you will use a Sell order to exit that position.

Note: If you open several orders in the same direction (e.g., multiple Buy UP orders), they merge into a single position with a common average entry price and leverage. Orders in opposite directions (UP vs. DOWN) remain separate.

2. Placing a New Order (UP or DOWN)

1. Choose Your Funding Currency:
   • At the top-right corner of the “Order Settings” section on the main trading page, select the currency (BTC, ETH, or USDT) you want to use to fund your position.
2. Select Your Order Type:
   • Market Order: Executes immediately at the current market price.
   • Limit Order: Executes only when the market reaches your specified limit price.

   For a BUY UP Limit to be considered a true limit order, its price must be below the current market price. If the limit price is set above market, the order executes immediately as a market order.

   Similarly, for a BUY DOWN Limit, the limit price must be above the current market price, or it becomes a market order upon placement.

3. Enter the Trade Amount:
   • Enter an amount that does not exceed your available balance. Minimum: 5 USDT, Maximum: 150,000 USDT (or equivalent in BTC and ETH).
   • Use the “[All]” button if you want to allocate your full available balance to the trade.
4. Specify a Limit Price (If Using Limit Order):
   • If you chose a Limit order, enter the price at which you want your order to be executed.
5. Optionally Set Stop Loss:
   • Stop Loss helps limit losses by closing the position automatically if the market moves against you to a certain price.
6. Select Leverage:
   • FYBIT offers leverage from 1x up to 100x depending on the crypto-asset.
   • Remember: Higher leverage magnifies both profits and losses. Use it wisely.
7. Enable Auto-Sell (Optional):
   • Auto-Sell automatically closes your position once you reach 100%, 200%, or 300% profit relative to your initial investment.
8. Place Your Order:
   • Click “Buy order UP” if you expect prices to rise, or “Buy order DOWN” if you expect prices to fall.
   • Confirm the details in any pop-up or summary before finalizing.

3. How to Close a Position

Once your position is open, you can close it with a Sell order. There are multiple ways to do this:

1. Sell Market Order:
   • Click [SELL] in the “Positions” tab to immediately close your position at the current market price.
2. Sell Limit Order:
   • You can set a Sell Limit to close an UP position at a price above the market, or a DOWN position at a price below the market.
   • Placing the Sell limit order on the “wrong” side of market price executes it immediately as a market order.
3. Auto-Sell Option:
   • If you enabled Auto-Sell at 100%, 200%, or 300% profit, the position closes automatically when that profit level is reached.
4. Stop Loss:
   • If a Stop Loss is set, it will automatically close your losing position once price hits the Stop Loss level.

Important: FYBIT only supports full position closure. Partial position closure is not available.

4. Using Leverage Effectively

Leverage on FYBIT can range from 1x to 100x. This feature allows you to amplify your trading results, both profits and losses, on a relatively small initial investment. Below are key points:

• Amplified Gains (and Losses): For example, a 1% price move with 100x leverage can yield a 100% return on your initial investment. It can also lead to a rapid loss if the market moves against you.
• Isolated Mode: You will never lose more than the amount you allocated to that individual position. The rest of your account balance remains safe.
• Fee Impact: Trading fees also scale with leverage, so higher leverage means higher fees on the total position size.
• Practical Example:
  • You have 1000 USDT in your account. At 10x leverage, you can open a position worth 10,000 USDT. A 1% move in your favor yields a 10% profit on your total balance (because 1% of 10,000 USDT = 100 USDT profit).
  • Conversely, a 1% adverse move leads to a 100 USDT loss, which is deducted from the amount you allocated to that position.
    Calculate PnL and liquidation before placing a trade

Reminder: Always use leverage cautiously and consider risk management tools such as Stop Loss to protect your capital.

5. Liquidation

Liquidation occurs when the market price reaches your position’s liquidation price (also called the Loss Cut price).

The Loss Cut price is set automatically when you open a position.

You can see the Loss Cut value:

• In the order confirmation window before placing a trade
• In the “Positions” tab after the position is opened

If you add a new same-directional order to your existing position, regardless of its volume or leverage, the average price of the position will change. As a result, the Loss Cut (liquidation) price will also be recalculated.

6. Averaging

When you place additional orders in the same direction (Buy UP or Buy DOWN) on the same asset:

• The new order will be merged with your existing position, regardless of order size or leverage.
• You will receive a new average entry price, a new average leverage, and a new liquidation price.
• Only full closure of this position is possible - partial closing is not supported.

If the initial position had Stop Loss or Sell Limit settings, and you place a new order without them, you will need to re-enter those values manually.

The auto-sell feature will continue working for the new combined position. If disabled, the position will not close automatically at target profit levels.

⚠️ Important: If you open a new position using the balance of a different cryptocurrency, it will not merge with the existing one.

7. Position Expiration

Each open position is valid for up to 120 hours (5 days).

If not closed manually, it will be automatically closed at the market price during the final hour - between the 119th and 120th hour.

If you add a new same-directional order, the expiration timer will reset, giving you another 120 hours from the time the last order was placed.

The maximum total lifetime of a merged position is 240 hours (10 days).

If still open by then, it will be automatically sold between the 239th and 240th hour.

Conclusion

By following these steps, you can confidently open Buy UP or Buy DOWN orders, set Stop Loss, use different leverage levels, and close your trades with precision. Make sure to verify your order type (Market vs. Limit), leverage setting, and Stop Loss/Auto-Sell parameters before placing a trade.

If you have any questions or concerns, please reach out to Fybit Support or check our comprehensive FAQ.